Solutions
Bridging finance for business and commercial property
A bridging loan covers the gap between a payment that cannot wait and the money that will clear it — a sale settling, a bank refinance completing, or business funds arriving. We arrange it as a first or second mortgage for corporate borrowers, with the exit agreed at the outset.
When a bridge is the right tool
- Settlement before approval. The entity has exchanged unconditionally and the bank will not have an approval in time. A private first mortgage settles the purchase; the bank refinances it later.
- Buy before you sell. The next premises or site is available now, but the equity to pay for it is tied up in a property that has not yet sold. A second mortgage over the existing property funds the deposit or the whole purchase until the sale settles.
- A maturing facility. An existing private or non-bank loan is due before the bank refinance completes. A replacement first mortgage provides a 6–12 month runway.
- Incoming funds with a known date. A contract payment, an insurance settlement, a property sale already exchanged, or a capital raise with signed commitments. The bridge is repaid from those proceeds.
- Construction cost overruns. A short second mortgage behind the construction lender covers a variation or a delay until the project refinances or sells down.
How we structure a bridge
The facility is a registered first or second mortgage over property the entity owns or is acquiring, with a term matched to the exit — usually three to twelve months. Interest is often capitalised so the borrower makes no monthly payments; the whole facility is repaid from the exit. LVRs run to around 75% gross for a first mortgage and the same combined for a first plus second. Pricing is set by the panel lender or private investor on each deal and disclosed in the term sheet.
The exit is the heart of the credit assessment. A sale needs an exchanged contract or a realistic campaign; a refinance needs a bank that has indicated appetite; incoming funds need documentation. A bridge without a credible exit is not a bridge, and a good broker will say so before taking it to a funder.
Speed
Bridging is where private credit earns its keep. A clean file settles in 5–10 business days from the term sheet. Where the settlement date is genuinely immovable, 24 to 48 hours is achievable provided the borrower's solicitor can sign the same day and the valuer can access the property immediately. Call us the day you know the bank is going to miss the date, not the week of settlement.
Who can borrow
A Pty Ltd company, corporate trustee or partnership, for a business or investment purpose, signing a Business Purpose Declaration. We do not arrange bridging loans for individuals or over owner-occupied homes; those are consumer credit and need a licensed credit provider.
The products behind it
First Mortgage Loans
Registered first mortgage over residential investment, commercial, industrial, rural or mixed-use property.
MoreSecond Mortgage Loans
Sit behind a major-bank or other priority lender. Raise capital without disturbing an existing first.
MoreFrequently asked questions
- How fast can a bridging loan settle?
- Typically 5–10 business days from the term sheet for a clean file. Settlement inside 24 to 48 hours is achievable for genuinely time-critical loans when the borrower and their solicitor are ready to act immediately.
- Do I make repayments during the bridge?
- Usually not. Interest for the term is commonly capitalised into the facility and repaid with the principal from the exit. Serviced structures are available where the entity prefers them.
- Can I bridge against a property I am buying rather than one I own?
- Yes. A first mortgage over the property being acquired is the standard settlement bridge. The lender takes its security at settlement, the same way a bank would.
- What if the sale I am relying on falls through?
- The term sheet will set out what happens at maturity: typically an extension at the lender's discretion, a refinance, or sale of the security. We structure terms with a buffer so a slipped exit is a conversation, not a default.
Related reading
Important — Business Purpose Lending Only
IMPORTANT — BUSINESS PURPOSE LENDING ONLY. Andorra Capital Solutions Pty Ltd (ACN 675 464 623 / ABN 32 675 464 623) is a commercial finance broker and introducer. We arrange property-secured business-purpose loans between Australian corporate borrowers and a panel of non-bank lenders and private investors. We do not provide credit ourselves. We do not arrange consumer credit and we do not arrange credit regulated by the National Consumer Credit Protection Act 2009 (Cth) (NCCP Act) or the National Credit Code. We are not an Australian Credit Licensee. Every loan arranged through us is either to a borrower that is not a natural person (outside the National Credit Code under section 5(1)) or for purposes that are wholly or predominantly business or investment purposes (outside under section 6(1)), or both. All borrowers are required to execute a Business Purpose Declaration and to evidence the true business purpose of the funds. No part of any loan arranged through us may be applied for personal, domestic or household purposes. If a borrower applies any part of the funds for a purpose to which the NCCP Act would apply, the borrower does so in breach of the loan agreement and indemnifies the lender against any resulting loss, claim or cost. The information on this website is general in nature, does not constitute financial, legal or taxation advice, and does not take into account your objectives, financial situation or needs. No interest rates, fees or other commercial terms are advertised on this website; pricing is determined by the relevant panel lender or private investor and is disclosed to the borrower as part of indicative terms. All loans are subject to credit assessment, satisfactory security, valuation, and execution of formal loan documentation by the relevant lender. For consumer credit (regulated under the NCCP Act), contact a licensed credit provider.